Property developers are looking to self-finance construction projects due foreign investors fearing possible difficulties obtaining Title Deeds if developments are mortgaged and banks imposing stricter criteria for granting loans.
Earlier today the Greek language newspaper ??????? (Daybreak) published statistics on the number of trapped buyers unable to get their Title Deeds because of various unpaid developer debts.
No-one knows precisely how many properties that are burdened with a developer's mortgage have been sold to unsuspecting buyers, but the problem is huge says the Director of the Department of Lands and Surveys.
Cyprus Finance Minister Haris Georgiades' list of the top 50 tax debtors includes property developers, large football clubs and hoteliers and has been published in the public interest by Stockwatch.
Latest information released by the Cyprus Central Bank shows that non-performing loans continue to mount with property developers having amassed billions of debts that they are unable to repay.
Property developers have requested a change to property tax legislation voted by the House last year to avoid the injustices that occurred, CEO of Aristo Developers Theodoros Aristodemou said.
A spokesman for the island's property developers believes that a fire sale of real estate during a recession would not be good for the country and developers are asking for more time to settle their debts.
In the wake of yesterday's report about the thirty two property development companies that have yet to settle their large Immovable Property Tax bills, the government is planning a special unit to deal with tax dodgers.
A committee of inquiry has heard how unsecured loans were granted to some big names in the property development sector following pressure from high ranking executives in the Bank of Cyprus.
Cyprus may soon be welcoming a number of property developers from China who are planning to buy land on the island or work with local property developers to build homes for Chinese families.
David Martin MEP, who represents Scotland in Brussels and Strasbourg, has asked the European Commission to outline the conclusions of its report into the practices property developers in Cyprus.
The fall in residential property prices that we reported on Thursday could have been even worse if the banks had pressed developers to service their loans by reducing new property prices still further to encourage sales.
Britain's 72 MEPs have been asked to put aside their political allegiances and work together on behalf of British property buyers in Cyprus who have been left without title deeds to their homes.
Alpha Bank Cyprus Ltd has started court action against three property developers and seven of their customers in connection with their Swiss Franc mortgages.
The Cyprus Land and Building Developers Association has met with the Central Bank to discuss financing problems and the Title Deed legislation currently before a Parliamentary Committee.
